Have you been tackling churn and retention?
Cancellations are a hurdle every business faces when it comes to subscriptions and recurring billing.
They’re just apart of the subscription business model.
But not every customer intends to terminate their membership.
There are events which can force a customer to drop off.
Consider this scenario:
A subscriber is set up for recurring billing, and their credit card expires.
Your system doesn’t have the new card on file.
So it sends an email to update their credit card.
No action is taken.
Your company calls them to update the billing info.
After a few more tries, they either drop off the face of the earth or they request a cancellation.
Does this sound familiar?
A decent percentage of subscribers will fall off the bandwagon simply because they fail to update billing information.
But what if your customers’ billing information was updated automatically?
Do you have an Amazon Prime Membership?
Notice how your subscription continues to run without ever having to update expired credit cards or new billing addresses.
Optimizing your payment solution plays a huge role in customer retention.
According to Authorize.net, 5%-10% of lost sales are due to failed transactions.
And there are 3 steps to help you catch and avoid these inevitable declined charges.
There’s no fancy software or expensive concierge service necessary.
You could implement these steps today if you wanted to.
And we’ve made them available in a free Cheat Sheet.
Considering the dollars and cents, what would cutting down monthly cancellations mean for your business?
This 10-minute read will show exactly what to do.